Penny Auction Site Sold.sg Receives “Almost S$1 Million” in Funding

Willis Wee
8:28 pm on Nov 15, 2011

Update: Co-founder Qiuyan told me, “The main investor is called XGS Venture Partners – formed by a group of Ex-bankers. The others include a private investor and our main supplier (a long term partnership).” There isn’t any website for XGS yet since its newly formed.

Exciting-deals-at-SoldFresh from the oven — We received news that Sold.sg, a Singapore-based online penny auction start-up has raised “almost S$1 million” (about US$773 455) in its latest round of funding.

Some of you might remember Sold.sg which we covered about three months ago. The e-commerce start-up was founded by Tian Qiuyan, Angeline Tham, and Chan Chiou Hao in July 2010 and was already gaining steam back then.

It now boasts 40,000 loyal users in Singapore – and with the new funding, Sold.sg plans to expand its business regionally.

First stop? Malaysia. And it will operate a similar penny auction e-commerce model on a separate Malaysia domain — Sold.my. Check out our previous coverage here to understand more about its business model.

For folks who wish to get the latest gadget at a cheap price, you can check out Sold.sg. And damn, another lucky guy has just bought a Nintendo Wii for just S$39.85


Replies
  • JulianKer

    Online Penny Bid is a pure scam. Companies buy the script and software online. These script has auto function to increment a bit when a real person bid, so that it will be guaranteed not sold at low price.
    Therefore, it doesn’t matter when it is done if it is midnight or not, there will be autobot script to bid just after the real person bid.

    After collecting all the bids and if the bid exceeded the cost several times, the autobot will be stopped and release to the winner.

    Therefore, this is a scam. No matter how much the person bid, it WILL NOT be release UNTIL, the autobot is stopped. The autobot is stopped ONLY if the collection of bids exceed the cost of the price several times.

    The fact that the product is not in stock at all! Only after they have collected all the bids, they use the money to buy the product.

    At each 0.01 increment, the bidding system makes huge profit!!!

    If the product cost 100

    0.20 + 0.22 + 0.24 and so on…will end up in high collection

    This is gambling.

  • Alco

    Hi,

    just read this and i’ve no against or for these sites but the reason they have such a bad rep is because quite a few of them are run by shady companies and yes there are definitely bots set up to drive the prices higher. Recently i saw a bidder spent $17, 800+ worth of bids to buy an ipad+ipod+phone at $650.
    Not only that, the penny auction site was running the same product in singapore, hong kong and malaysia at the same time. People from 3 different countries bidding against one another. Something does seem amiss right there.

  • barakuda

    Penny Auction sites is not ramification. It’s illegal in Singapore. Why? Just read the Common Gaming Houses Act in the Singapore Statutes. Just because it’s a registered business doesn’t mean it is doing legal things. They probably didn’t declare that they are a gambling business and may not have applied to the relevant authorities. http://statutes.agc.gov.sg/aol/search/display/view.w3p;page=0;query=CompId%3A6b7b6222-526e-42ce-ac9f-628fcb472b2a;rec=0

    A few things to highlight from the Act.
    Gaming houses declared public nuisances
    3. Every common gaming house is hereby declared to be a common and public nuisance contrary to law.

    4.—(1) Any person who —

    announces or publishes or causes to be announced or published, either orally or by means of any print, writing, design, sign or otherwise, that any place is opened, kept or used as a common gaming house, or in any other manner invites or solicits any person to commit a breach of section 7, 8 or 9; or
    (e)
    conducts in or through any newspaper or any other periodical publication, or in connection with any trade or business or the sale of any article to the public —
    (i)
    any competition in which prizes are offered for forecasts of the results either of a future event or of a past event the result of which is not yet ascertained or not yet generally known; or
    (ii)
    any other competition success in which does not depend to a substantial degree upon the exercise of skill,
    shall be guilty of an offence and shall be liable on conviction to a fine of not less than $5,000 and not more than $50,000 and shall also be punished with imprisonment for a term not exceeding 3 years.

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